The UK’s Homebuyers Deposit Pots

New research has cast a telling insight into the situation faced by those trying to purchase property for the first time in the UK; revealing just how much aspiring home owners in different regions have managed to save over the last three years. Those in the North East and Scotland have saved the most, while those in the South East have the smallest sum in their deposit pots.

In spite of reports about the housing market slowing down and property becoming increasingly accessible for first time buyers, new research has unveiled just how much, on average, aspiring buyers have managed to save.

The team at www.MyJobQuote.co.uk undertook the research as part of an ongoing study. 2,746 people took part in the poll, all of whom were 18 or over, with an even selection taken from each region. All respondents stated that they had been saving towards a deposit for approximately three to four years.

Respondents were first asked how “How much have you saved towards a house deposit?” revealing the following averages, ranked from most to least:

North East – £9,875

Scotland – £8,327

Yorkshire – £7,939

Ireland – £6,875

South West – £6,328

Wales – £5,374

London – £5,106

North West – £3,879

East Midlands – £3,506

East of England – £2,485

South East – £1,560

West Midlands – £1,357

All respondents were then asked if they were planning to receive any financial help to make up their deposit amount from others that would not be named on the mortgage, to which 64% said ‘yes’. When asked who they were likely to receive help from (selecting more than one person if necessary), parents came out top with 51% of the vote, followed by grandparents (29%) and extended family members (16%). A further 7% stated that they planned to get financial assistance from ‘an ex-partner’ and 6% were expecting help from their ‘boss/employer’.

54% of the savers confessed that they had previously taken money from their deposit savings pot for other purposes over the years, but only 26% of them said it was for an emergency (e.g. home/car repairs etc.). The most likely purchases made with money previously set aside to go towards a deposit on a property were holidays (33%) and nights out/socialising (28%).

“It’s not easy to put money aside. Although house prices tend to be more expensive in the south, and in London in particular, this isn’t reflected in the amount that first time buyers are able to save; meaning their journey will be both longer and slower than someone looking to purchase in the north.”